The partnership between Lockheed Martin Corporation (LMT) and Alliant Techsystems Inc. (ATK) recently received a part of NASA’s Launch Services II contract to provide space launch services over the next 10 years. The partnership will provide NASA with launching services through its Athena Launch Vehicle Family.
 
Under the contract, the rockets will be launched from east and west coast launch sites, such as Cape Canaveral Air Force Station, Florida, and Kodiak Launch Complex, Alaska.
 
Lockheed and Alliant formed a partnership in March 2010 to provide launch services utilizing upgraded and modernized Athena rockets. The modernized second-generation launch vehicles include the two-stage Athena Ic and three-stage Athena IIc launch vehicles. Athena offers NASA low-risk, reliable launch services at an affordable price.
 
Athena uses both companies’ heritage and expertise in launch systems, offering an enhanced product with performance capabilities to meet NASA’s needs. Alliant provides integrated vehicle propulsion, launch vehicle structures, booster integration and launch site operations. Lockheed Martin provides mission management, payload integration and launch operations.
 
First-generation Athena I and II rockets became operational in 1995 and have flown seven times.  Athena II launched the Lunar Prospector to the moon in 1998 and remains the only commercially developed launch vehicle to fly a lunar mission.
 
Other companies who received portions of NASA’s contract include Orbital Sciences Corp. of Dulles, Virginia; Space Exploration Technologies of Hawthorne, California; and United Launch Services of Littleton, Colorado.
 
Alliant Techsystems is a premier aerospace and defense company with more than 18,000 employees in 22 states, Puerto Rico and internationally. The company supplies aerospace and defense products to the U.S. government agencies, and their prime contractors and sub-contractors. The company also supplies ammunition and related accessories to law enforcement agencies and commercial customers.
 
Lockheed Martin Corporation, the largest U.S. defense contractor, reported strong numbers in the first half of 2010 and is expected to see a steady inflow of new and follow-on orders with a leveraged presence in the Army, Air Force, Navy and IT programs. The company’s customer base includes the U.S. government, foreign governments and other commercial buyers.
 
We currently have a short-term Zacks #3 Rank (Hold) for both Lockheed and Alliant. Our long-term recommendation for both the stocks also remains Neutral.
 
ALLIANT TECHSYS (ATK): Free Stock Analysis Report
 
LOCKHEED MARTIN (LMT): Free Stock Analysis Report
 
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